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Saved Required information Exercise 4-8 (Algo) Computing ABC Product Costs [LO4-2, LO4-3] [The following information applies to the questions displayed below] Performance Products Corporation

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Saved Required information Exercise 4-8 (Algo) Computing ABC Product Costs [LO4-2, LO4-3] [The following information applies to the questions displayed below] Performance Products Corporation makes two products, titanium Rims and Posts Data regarding the two products follow Rims Posts Direct Labor- Hours per unit 0.30 0.80 Annual Production 21,000 units 80,000 units Additional information about the company follows: a. Rims require $13 in direct materials per unit, and Posts require $9. b. The direct labor wage rate is $19 per hour. c. Rims are more complex to manufacture than Posts and they require special equipment d. The ABC system has the following activity cost pools: Activity Cost Pool Machine setups Special processing General factory Activity Measure Number of setups Machine-hours Direct labor-hours Exercise 4-8 (Algo) Part 1 Required: Estimated Activity Estimated Overhead Cost $ 28,800 $128,800 Rims Posts Total 90 4,000 110 200 $ 1,008,000 6,300 64,000 4,000 70,300 1. Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.) < Prey 4 of 10 Next >

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